Small business insurance – Important for small businesses?

Regardless of the success and profitability of your business, you could be exposed to an accident or disaster at any point. It would be naive for a business of any size to believe that they are indestructible to damage. Therefore, it is sensible for businesses to implement insurance to mitigate against risks of unforeseen damage and protect themselves. As a business owner, you have an immediate responsibility for those around you, including your employees (even if this is just yourself) and customers. Yes, insurance is an overriding expense but this is not a corner worth cutting. Often smaller businesses and startup companies work on an extremely tight budget and as a result, may neglect to purchase small business insurance cover. However, the financial risk to your company if an unforeseen circumstance was to arise could have monumental consequences without insurance protection, and could even have the strength to wipe out your business entirely. Therefore, taking such risks without insurance would be entirely negligent and will end up causing you far greater expense in the long run.

Here at Todd and Cue, we value highly the benefits of small business insurance, here is why it is so integral to the running of your business…

Why do you need small business insurance to cover?

Small business insurance can be purchased to cover virtually all aspects of your business. Your business may need protection from risks such as….

  • Acts of God – such as blights of bad weather that are entirely out of your control including flooding to your business.
  • Fire hazards
  • Theft
  • Risk to customers – for instance, if you own a business that works with food, a customer may become sick after eating one of your products and you may be liable to pay out damages.
  • Risk to employees – including injury at work.
  • Financial protection – insurance can help to reimburse you for profit losses if your business is interrupted for a period by something out of your control.



The other key reason why you need small business insurance is because it is law. Whether or not you’re legally required to have business insurance depends on the nature of your company, however, if you employ any staff in your small business it is a legal requirement in the UK to have employers liability insurance. Even if you employ staff this is a legal requirement and is, therefore, something to be aware of as a small business owner.

Types of Small Business Insurance

So, what insurance does your small business need?…

  1. Liability insurance – including both product and public liability insurance to protect your company against compensation claims.
  2. Professional indemnity insuranceprotects your business from potentially financially crippling and often reputation damaging claims from dissatisfied clients.
  3. Employers liability insurance protects employers from claims of negligence made by employees who suffer injury or ill health due to their work, policies can also protect employers against theft from employee dishonesty.
  4. Motor insurance – if your company runs a number of cars and/or commercial vehicles it can often be wise to ensure them under one comprehensive motor fleet insurance policy.  
  5. Cyber liability insurance – protecting your business from cyber security attacks and data breaches.

These are the main forms of small business insurance to consider. However, of course, there are also a number of more specific covers depending on the exact nature of your business hence why it is advisable to seek assistance when selecting the appropriate cover.

Finding Small Business Insurance

There are a plethora of types of small business insurance and when selecting the policy for your company it is important to know your industry and consider your specific needs! When taking out small business insurance it is critical to make strategic decisions about the insurance policy your business will require to ensure you are adequately protected. Clearly, small business insurance is not something to sideline.

Furthermore, you must always remember to renew your policy. This is typically done annually and offers an ideal opportunity to review your coverage and ensure that it is up to date and protecting you securely as it has done the past year. Your policy may need adapting as your business grows or experiences change so make sure you work closely with your provider and make them aware of any necessary amendments.

Here at Todd and Cue, we highly recommend maintaining a small business insurance policy and we offer a range of insurance services to cover all industries and small business sectors. If you are a small business, new or established in the North East of England we guarantee to provide you with a complete and cost-effective insurance cover. Our customers range from small hotels, offices, pubs, restaurants, shops, sports clubs and many more. Over a number of years, we have therefore homed in our specialised knowledge and experience in a variety of fields aiding us to work closely with your small business to tailor a policy that suits your needs. If you require professional advice or would like a free quotation please do not hesitate to contact us today on 0191 482 0050 or email

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Todd & Cue has grown consistently over the years, primarily through client recommendation, to become one of the UK’s leading independent insurance brokers and risk managers. Total client focus, with excellence in all aspects of service coupled with our growing buying power ensures that you will receive competitive insurance premiums and a true value for money service resulting in a complete and cost effective package.

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